MARTIN Lewis has issued a warning to every household over an essential bill – and you could be owed thousands of pounds.
The MoneySavingExpert founder took to Twitter to urge households to check if they could claim a discount on their council tax bill.
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It comes just weeks after annual council tax bills rose by an average of 5.1% in England.
But Martin Lewis warned that hundreds of thousands of people are in the wrong council tax band and its adding to their bills.
In a video shared on social media, he said: “You may be able to get your band lowered and a backdated payout.”
The amount you pay is determined by the local council and depends on which “band” the property you live in falls under.
Your home’s band is based on its value – the more expensive the property, the more council tax will be charged.
But you can challenge your council tax band if you think it’s incorrect.
How can I challenge my council tax band?
Properties across the UK are banded from A to H which dictates how much council tax you should pay.
But the bands were created based on property values back in 1991, so many households may find that they should be on a different band today.
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Luckily, you can challenge your band if you think it’s wrong and recoup any money you might have overpaid.
It’s worth noting, you might be re-banded and have to pay more council tax so think before you rush into making a challenge.
You have to submit your challenge to the Valuation Office Agency (VOA) if you live in England or Wales.
You can do this on the government’s website.
Alternatively, you can call the VOA on 03000 501 501 for England or 03000 505 505 for Wales or email on [email protected].
You will need some information to hand when it comes to making your challenge.
This includes giving addresses of up to five similar properties in a lower council tax band in your immediate area.
Plus, you will have to say what type of property you live in, its size, age and style and design.
Bear in mind, the challenging process is different if you live in Scotland.
You should go to Scottish government’s website for more information.
If you make a challenge and you are in the correct council tax band, there are other ways to get reductions if you are struggling financially.
You can get council tax reductions if you are single, elderly or on certain benefits.
What is a council tax discount and who is eligible?
Depending on your circumstances, you can get a council tax discount, or even an exemption.
Properties can get 100% off if all the people living in them:
- are full-time students
- are aged under 18
- are members of the armed forces in armed forces accommodation
- have moved into a care home or hospital
- are living with somebody else to receive care for reasons of old age, disability, illness, past or present alcohol or drug dependence, or past or present mental disorder
- have a severe mental impairment
- are diplomats
- have been detained in prison
Those who can get a council tax discount include those like Karen, who is living with a full-time student and gets 25% off.
This is because council tax bills make the assumption there are two adults living in a home.
But if only one adult is actually in the property, they are eligible for a single-person discount.
You can get a 25% single-person discount if you share your home with someone who is considered “disregarded” too.
If everyone in the home is disregarded, you can get a 50% discount.
Those who fit into the disregarded category include:
- an apprentice studying for a recognised qualification
- a young person (under 25) in approved training
- an 18 or 19-year-old in full-time education
- a student nurse
- people staying in hostels or night shelters
- carers (providing at least 35 hours’ care a week) if they are not the main resident’s husband, wife or civil partner
- monks and nuns
- members of visiting forces
- a full-time student (attending university or college, or under the age of 20 and studying A levels or their equivalent)
- resident hospital patients
- people living in care homes
- people who are severely mentally impaired (this can include people with dementia)
- prisoners
- individuals with diplomatic privileges and immunities
If you think you qualify for a reduction or exemption you should write to your local council and make your case.
If you don’t know what council area you fall under, the government has a council locator tool you can use.
You just have to enter your postcode and it will draw up your local authority.
You can also get a council tax reduction if you are on a low income – and you may be eligible for 100% off.
But each local council has different criteria to get a discount or exemption so you should speak to yours to see what help you might be able to get.
Your income, savings and whether you live alone will be considered when you apply.
Pensioners can also get council tax reductions as well as those who own properties which are empty.
Plus, if you are experiencing “exceptional” hardship for reasons out of your control, like losing a job, you may qualify for “hardship relief”.
Again, you should contact your local council about what you are entitled to.
In other news, another big household bill has risen by £88 as households battle with a number of other soaring costs.
Plus, we reveal the UK’s cheapest supermarket – and you could save £20 on your weekly shop.
Do you have a money problem that needs sorting? Get in touch by emailing [email protected]
